- Metaplanet purchased 619.7 BTC for nearly $60 million, bringing its total holdings to 1,762 BTC, valued at $168 million.
- The firm plans to develop a Bitcoin-focused business model and raise $62 million to expand its Bitcoin treasury.
- The firm’s Bitcoin strategy led to a 2,100% surge in its stock price in 2023, establishing it as a key player in the Asian crypto market.
Japanese investment firm Metaplanet has concluded its largest Bitcoin purchase thus far, sealing its stature as a huge player within the cryptocurrency market. On December 23, this Tokyo-based company announced buying 619.7 BTC for nearly $60 million, whereby the cryptocurrency had traded at around $96,000 per BTC.
This purchase is a massive milestone for Metaplanet, nearly quadrupling the size of its previously largest purchase of 159.7 BTC on Oct. 28. According to data from Bitbo, this latest purchase brings its total Bitcoin holdings to 1,762 BTC, valued at about $168 million. Across its entire portfolio of BTC, the average acquisition cost has now reached approximately $75,600 per BTC.
Dubbed “Asia’s MicroStrategy” after the American company famous for its Bitcoin-heavy treasury strategy, Metaplanet’s aggressive approach to BTC investment has raised eyebrows around the world. It now ranks as the 12th-largest BTC holder among public companies, just behind US-based medical technology firm Semler Scientific.
Metaplanet’s Bitcoin investment strategy appears to be paying off handsomely. From October 1 to December 23, the company reported an astonishing 310% Bitcoin yield, far outpacing its 41.7% yield from the previous quarter. According to the company, this metric evaluates the success of its BTC acquisition strategy and its contribution to shareholder value.
Metaplanet Leads Asian Bitcoin Market Revolution
The ambitions of the company are way bigger than stockpiling Bitcoins. In a December 18 investor update, Metaplanet said that it would double down on developing its Bitcoin-heavy strategy into a full-scale business. It will include setting up a separate corporate entity solely for BTC hoarding and management and making new classes of financial securities: credit, equity, and convertible bonds- boosting those holdings.
Metaplanet also disclosed plans to raise $62 million (9.5 billion Japanese yen) through a stock acquisition program to keep expanding its BTC treasury. It announced this as it forecasted its first operating profit since 2017, underscoring how cryptocurrency trading has turned the company around.
Investors have responded positively to Metaplanet’s bold moves. After announcing its latest BTC purchase, the company’s stock rose 5% on the Tokyo Stock Exchange. Despite a 13% dip in its stock price over the past week, according to Google Finance. Metaplanet’s shares have surged more than 2,100% in 2023, reaching an all-time high of 4,080 Japanese yen ($26) on December 17.
Metaplanet’s strategic pivot toward Bitcoin underscores the growing institutional acceptance of cryptocurrency as a legitimate asset class. By integrating BTC accumulation into its core operations and developing a diversified approach to managing its holdings, the company is positioning itself as a trailblazer in the Asian financial sector.
As Bitcoin continues to garner attention as a store of value and hedge against economic uncertainty, Metaplanet’s bold strategy could serve as a blueprint for other firms looking to capitalize on the cryptocurrency revolution.
Related | BPCE to Offer Crypto Services to 35 Million Customers by 2025 Through Hexarq
